Propose operating fees out for consultation. (Image: Alan Evans/Casinos.com)
The Department for Culture, Media and Sport (DCMS) has opened a consultation on raising operating licence fees paid to the Gambling Commission, offering three options for overall increases: 30%, 20%, or 20% plus an extra 10% “ringfenced” for illegal market disruption and “revenue protection” work.
DCMS said Option 3 is its preferred approach, while Option 1 reflects the Commission’s recommendation. Any changes would be made via secondary legislation, with DCMS aiming for implementation from 1 October 2026.
The consultation lands in a squeeze moment for many operators.
Separately, the government has already set out major reforms to gambling duties announced on 26 November 2025, including a remote gaming duty rise to 40% from 1 April 2026 and changes affecting remote betting and bingo duty.
Increases to annual fees by one of three different options:
Option 1: 30% (Source: Department for Culture, Media & Sport)
DCMS argues licence fees remain a small slice of industry revenue, but the timing means operators may face higher regulatory costs and higher taxes within months of each other.

Option 2: 20%. (Source: Department for Culture, Media & Sport)
For players and the wider public, the government frames the issue as capacity: whether the regulator can keep pace with online growth, enforcement demands, and an evolving illegal market.
DCMS says the Commission’s annual income is £27.9 million (excluding National Lottery regulation) and that fee income has not kept up with regulatory workload, inflation, and new priorities such as illegal market disruption and reforms linked to the 2023 gambling white paper.
The consultation states the Commission has run successive deficits, drawing down reserves, and forecasts reserves could be exhausted without a fee uplift in October 2026.
DCMS proposes refining how fees are calculated so they reflect market share and regulatory risk, rather than applying broadly similar uplifts across licence types. Annual fee changes
In its examples, DCMS highlights remote casino as a likely major mover because it represents a large share of industry gross gambling yield (GGY) and is tied to higher regulatory effort. Under the models described, the consultation indicates total online casino fees would rise sharply, while some other categories could see smaller increases or even decreases depending on band changes.
Under the government’s preferred Option 3, one-third of the additional fee income would be committed to illegal market disruption and related “revenue protection” activity, including work with search engines and payment providers, enforcement capability, and integrity issues such as suspicious betting and match-fixing support.

Option 3: 20% + 10% ringfenced for tackling illegal markets and protecting licensed operators’ revenue from criminal activity. (Source: Department for Culture, Media & Sport)
N.B. These percentages are overall increases and would not be distributed evenly across all types of licence.
DCMS also points to separate funding: the consultation references £26 million in grant-in-aid over three years to tackle illegal gambling, but says that funding is time-limited.
DCMS has published consultation questions and a response route, including an email address for submissions (Closes 29 March 2026). After the consultation, the department says it would proceed via regulations if it decides to change fee levels, targeting 1 October 2026 as the start date.

Most of my career was spent in teaching including at one of the UK’s top private schools. I left London in 2000 and set up home in Wales raising four beautiful children. I enrolled at University where I studied Photography and film and gained a Degree and subsequently a Masters Degree. In 2014 I helped launch a new local newspaper and managed to get front and back page as well as 6 filler pages on a weekly basis. I saw that journalism was changing and was a pioneer of hyperlocal news in Wales. In 2017 I started one of the first 24/7 free independent news sites for Wales. Having taken that to a successful business model I was keen for a new challenge. Joining the company is exciting for me especially as it is a new role in Europe. I am keen to establish myself and help others to do the same.
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